Equities in Toronto opened higher on Tuesday, winning back some value after Monday's precipitous drop as banks rebounded and rising oil prices helped energy stocks.
The S&P/TSX composite index added 32.68 points to open the session at 14,522.83, after a collapse of more than 300 points Monday.
The Canadian dollar skidded 0.20 cents to 80.43 cents U.S.
Canadian markets are to be shuttered Wednesday for Canada Day.
Cenovus Energy Inc said it would sell its royalty lands business, Heritage Royalty Limited Partnership, to Ontario Teachers' Pension Plan for about $3.3 billion. Cenovus shares advanced 18 cents to $19.98.
Oando Energy Resources has agreed to sell a 60% stake in its downstream business to Vitol and Helios Investment Partners for $276 million, the energy company said. Its downstream business, with a market share of 12% in Nigeria, will be set up as an independent entity, but will retain the Oando brand. Oando shares were unchanged at $1.09.
National Bank Financial raised the target price on Element Financial to $24.00 from $21.00 to reflect the company’s acquisition of GE Capital’s Fleet management operations. Element climbed 56 cents, or 2.9%, to $19.75.
Canaccord says Manulife Financial presents a buying opportunity on Greek situation citing the company’s strong balance sheet. Manulife shares gained 13 cents to $23.27.
National Bank Financial raised the rating on TIO Networks to outperform from sector perform saying that the company’s profitability is back on track. TIO shares inched up three cents to 94 cents.
On the economic beat, Statistics Canada’s said our Gross Domestic Product edged down 0.1% in April, the fourth consecutive monthly decline. A decrease in the output of goods-producing industries outweighed an increase in service industries.
ON BAYSTREET
The TSX Venture Exchange recovered 3.7 points to 670.79.
Nine of the 14 TSX subgroups gained ground in the first hour of trading, as health-care picked up 0.8%, energy moved 0.7% higher, and financials progressed 0.4%.
The five laggards were weighed most by metals and mining, down 1.1%, gold, dulling in price 0.5%, and global base metals, skidding 0.3%.
ON WALLSTREET
U.S. stocks held higher in choppy trade Tuesday, attempting recovery from the worst trading day of the year, as investors turned more optimistic on the Greece crisis.
The Dow Jones Industrials recovered 61.93 points to 17,658.28, with Home Depot leading gains and Cisco the greatest laggard.
The S&P 500 index improved 8.93 points to 2,066.57, with energy leading all nine sectors higher and utilities the only laggard.
The NASDAQ moved upward 27.75 points to 4,986.22.
In corporate news, Towers Watson will merge with British reinsurance firm Willis Group in an all-stock merger. Towers Watson shareholders will get about 2.65 Willis shares for each share they now hold, plus a one-time dividend of $4.87 U.S. per share in cash.
The combined company will be called Willis Towers Watson.
Celgene will invest about $1 billion U.S. in Juno. The two will form a partnership to develop treatments for cancer and autoimmune diseases.
ConAgra, the company behind brands such as Healthy Choice, Hebrew National, and Hunt's, matched Street estimates with adjusted quarterly profit of 59 cents U.S. per share, though revenue was below forecasts.
ConAgra also said it was taking a new approach to increasing profit margins, and as part of its new strategy, it will pursue a divestiture of its private label business.
The Chicago purchasing mangers' index missed expectations and came in below the key 50 level at 49.4.
Greece faces a 1.5-billion-euro ($1.7-billion U.S.) payment due to the International Monetary Fund at midnight Tuesday. The prime minister said the government will seek a viable solution until the end and aims to stay in the euro, Reuters reported.
The Greek government also issued a statement saying it has prepared a two-year agreement with the euro-zone bailout fund in order to cover its financing needs, Dow Jones reported.
Prices for 10-year U.S. Treasuries declined, raising yields sharply to 2.34% from Monday’s 2.32%. Treasury prices and yields move in opposite directions.
Oil prices gained 60 cents a barrel to $58.93 U.S.
Gold prices lost $9.30 at $1,169.70 U.S. an ounce.
